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1© 2013 by Nelson Education Ltd.
Managing Performance
through Training and Development
Third Edition
PowerPoint SlidesDr. Lori Buchart, CD, CHRPMount Royal University
2© 2013 by Nelson Education Ltd.
CHAPTER ONE
The Training and Development Process
3© 2013 by Nelson Education Ltd.
LEARNING OUTCOMES
Understand the meaning of performance management (PM), training and development (T&D), and human resources development (HRD)
Describe the PM process and the role of T&D Describe the societal, organizational, and employee benefits
of T&D Discuss T&D in Canada Explain the role of the environmental and organizational context of
T&D and the human resources system Discuss the meaning of strategic HR, T&D, and high-performance
work systems Discuss the instructional systems design model of T&D
4© 2013 by Nelson Education Ltd.
INTRODUCTION
Value of T&D cannot be underestimated – critical function Number of incidents attributable to lack of training, which
cost lives and money Success and competitiveness are highly dependent
upon sound T&D – critical to organizational performance T&D are key factors in creativity, innovation, and transfer
of knowledge, and are part of the defining factors of best companies to work for in Canada
It is a sound investment with an ROI – not a cost!
5© 2013 by Nelson Education Ltd.
PERFORMANCE MANAGEMENT
Performance management entails:
Not a single event – it is a continuous loop of:
• (Re-)Establishing performance goals and expectations
• Designing interventions and programs to develop employee KSA and overall employee and company performance
• Monitoring success of interventions and programs Employee development plans are critical in this process
6© 2013 by Nelson Education Ltd.
PM PROCESS
7© 2013 by Nelson Education Ltd.
TRAINING AND DEVELOPMENT
Training and Development• Formal and planned efforts that allow one to
acquire KSAs:–Training: To improve current job performance
(short-term focus)
–Development: To perform future job responsibilities (longer-term focus) – i.e., career goals and organizational objectives
8© 2013 by Nelson Education Ltd.
HUMAN RESOURCES DEVELOPMENT
HRD:• Systematic and planned activities that are
designed by an organization to provide:–Employees with an opportunity to learn
necessary skills to meet current and future job demands
T&D BENEFITS
Organizational Increases effectiveness and productivity Maintains competitive advantage Improves recruitment and retention efforts Provides an integrated structure/process to
achieve organization’s business objectives
9© 2013 by Nelson Education Ltd.
T&D BENEFITS
10© 2013 by Nelson Education Ltd.
Intrinsic and Extrinsic• Confidence• Self-efficacy• Higher earnings • Promotion/advancement• Positive attitude/behaviour• Seek out opportunities
Employees
T&D BENEFITS
Society
Society• Skilled workforce• Increased standard of
living• Increased global presence
Note: Canada lags in the category of innovation and competitiveness
11© 2013 by Nelson Education Ltd.
12© 2013 by Nelson Education Ltd.
CANADA STATISTICS
Can we do better in Canada?• Number of employees in Canadian
organizations that receive training:–11 million workers receive some sort of
workplace training as follows:–More than 2/3 (69%) full-time workers –50% part-time employees–31% seasonal/contract employees
13© 2013 by Nelson Education Ltd.
INVESTMENT OR EXPENSE?
2006 – Canada ranked 21st in T&D spending 2002 – Canada ranked 12th in T&D spending Underinvestment may lead to a gap in essential
skills to remain competitive in today’s global marketplace
Must increase spending – not look at it as an expense, but rather an investment
14© 2013 by Nelson Education Ltd.
QUEBEC TRAINING LAW
Passed in 1995 – “1% or training law”• Only payroll training tax in North America
Changed way firms structure, organize, and deliver training:• Actively planning and implementing training
–Participation increased (1997–2002) from:–21% to 33% in Quebec –29% to 35% in Canada
• Employers, governments, and unions working together to find ways to promote
15© 2013 by Nelson Education Ltd.
T&D CONTEXT
16© 2013 by Nelson Education Ltd.
T&D CONTEXT
A. Environmental Context
1. Global competition
2. Technology
3. Labour market
4. Change
5. Social climate
17© 2013 by Nelson Education Ltd.
T&D CONTEXT
B. Organizational Context
1. Strategy
2. Structure
3. Culture
18© 2013 by Nelson Education Ltd.
T&D CONTEXT
C. Human Resources Management System
High-Performance Work System (HPWS) Integration with all HR practices and
policies Integration with business strategy
… Is Essential Influences T&D strategy, policy, and practice
19© 2013 by Nelson Education Ltd.
STRATEGIC T&D
Business strategy influences HRM strategy An integrated/interrelated approach
20© 2013 by Nelson Education Ltd.
INSTRUCTIONAL SYSTEMS DESIGN MODEL (ISD)
21© 2013 by Nelson Education Ltd.
INSTRUCTIONAL SYSTEMS DESIGN MODEL (ISD)
Rational and scientific model of T&D process consists of three major overlapping steps: Starts with performance gap or itch (problem)
– Training needs analysis – Training design and delivery – Training evaluation
The ISD model guides strategic T&D process (and the rest of this course)
22© 2013 by Nelson Education Ltd.
SUMMARY
Investigated strategic T&D processes and drivers of these processes
T&D play critical roles in an organization’s competitive advantage, effectiveness, and productivity
Done right, there can be a significant ROI – not simply an expense
Discussed state of training in Canada with added emphasis on the Quebec Training Law and its effectiveness since its inception
23© 2013 by Nelson Education Ltd.
SUMMARY
The value of training and development is increased when linked to SHRM, aligned with other HR practices (and a HPWS), and tied to an organization’s business strategy
Introduced instructional systems design (ISD) model • Key concepts to be addressed in subsequent
chapters, such as needs analysis, training design and delivery, and the evaluation of training programs